Have you ever had the feeling you should have zigged when you should have zagged? Have you ever wondered if your trip would have been shorter if you had taken a different route or left at a different time? Those questions, and many more, often confound our research team because lately trying to predict what the real estate market in Toronto will do is like trying to predict what direction an Ikea shopping cart will take you.
Call it the Yo-Yo effect. Sometimes listings go up and sometimes, for no particular reason….well, they go down. Case in point, the freehold home in the Downtown core. After a flurry of listing activity two weeks ago, listings tapered off last week to below the levels one month ago. Sales are slowing slightly, backing off 13% compared to a week earlier but the number of sales happening at or above the list price is still close to 60%. This week’s hot spot alert goes out to first time buyers looking in the East core where 72% of homes in the $400k-$700k range sold over asking.
Last week, the condominium market proved that the previous week’s listing spike was nothing more than an anomaly as new listings returned to average levels more consistent with the last two months. In the Central Core the hot ticket is owned by the first timer and investor market where nearly 50% of the transactions are in the $200k-$400k category. In the East and West core market activity seems to favour the move up buyer (those in the $400k-$700k category). Overall, sales activity remains active with nearly 30% of condos sold at or above the list price. Oh, and in case you are wondering, there are currently 2,926 condos on the market in Toronto’s core. Lots of choice.
HERE ARE THE TOP FIVE TRENDING STORIES OF THE WEEK:
TORONTO HOUSE SALES REBOUND IN MAY WITH PRICES UP 8.3%
Toronto home sales rebounded in May’s warm weather, with number of homes sold at a new high and the average price up 8.3 per cent from last year.
FIVE CANADIAN CITIES THAT MARKED STRONG STARTS TO SPRING SELLING SEASON
May appears to have been a relatively strong month for Canadian housing sales, based on some preliminary data that’s been released by local real estate boards.
CANADA CONSUMER SENTIMENT RISES ON FINANCES, REAL ESTATE
Canadian consumer confidence rose last week as optimism about personal finances and the real estate market improved, survey data show..
HOUSING MARKET 10% OVERVALUED IN CANADA AMID CONDO RISKS, DATA UNCERTAINTY: TD EXECUTIVE
Canada’s housing market is 10% overvalued, with the biggest risks in condominium overbuilding and uncertainty over how many investors are buying, but the risk of a U.S.-style collapse is low, a top executive at Canada’s second largest bank said on Monday.
SURVEY FINDS THIRD OF FIRST-TIME HOME BUYERS PREFER LONG AMORTIZATIONS
More than one-third of first-time home buyers say they would take a longer amortization period on their mortgage if they could, according to a Google Consumer Survey that was done for The Globe and Mail.